The oil and gas industry poured nearly $250 million into the election cycle that produced the current U.S. government — overwhelmingly supporting Republicans — data shows, as President Donald Trump’s military intervention in Venezuela raises the possibility of a multibillion-dollar windfall for U.S. companies expected to oversee the country’s oil infrastructure.
Key data
The oil and gas industry spent $249 million during the 2024 election cycle that produced the current US government, according to an OpenSecrets analysis.
Republicans benefited much more than Democrats, with GOP candidates capturing 88% of industry support.
In direct contributions to presidential candidates, the industry gave $2.6 million to President Donald Trump and $1.4 million to then-Vice President Kamala Harris.
The nine biggest recipients of oil and gas money in congressional races were all Republicans, led by Sen. Ted Cruz, R-Texas, who received $1.1 million in contributions.
The $249 million represented a 66% increase over what the industry spent in the 2020 election.
Separately, the industry spent an additional $154 million on federal lobbying for approximately 200 clients in 2023 and 2024.
news hook
Oil and gas stocks rose on Monday after the U.S. military captured Venezuelan President Nicolas Maduro and Trump said the U.S. would oversee a transition in Venezuela that includes rebuilding the country’s oil industry. Shares of Chevron — the only major U.S. company authorized to extract and export oil from Venezuela — jumped 5.1% on Monday. Exxon Mobil shares rose 2.2%, hitting a 52-week high, while ConocoPhillips gained 2.6%. Oilfield services companies also appeared to benefit from the U.S. action: SLB soared 8.9%, Halliburton rose 7.8% and Baker Hughes Co. advanced 4%. Maduro and his wife, Cilia Flores, pleaded not guilty to narcoterrorism-related charges at their first appearance in federal court Monday in Manhattan.
Additional information: The US Secretary of Energy will hold meetings with oil companies this week to address the issue of Venezuela
key quote
“We are going to rebuild the oil infrastructure, which will cost billions of dollars that will be paid directly by the oil companies,” Trump said during a news conference at Mar-a-Lago on Saturday. “They will be reimbursed for what they are doing, but it will be paid, and we will make the oil flow the way it should.”
Key background
In tallying the numbers, OpenSecrets, a nonprofit that tracks money in politics, analyzed contributions from individuals and political action committees (PACs) tied to the oil and gas industry, as well as money spent by outside groups connected to the industry that benefit a particular candidate (known as soft money) during 2023 and 2024. The data came from reports the committees filed with the Federal Election Commission.
What we don’t know
It is unclear whether, or to what extent, political contributions or lobbying by oil and gas companies influenced US policy decisions related to Venezuela or the administration’s approach to the country’s oil sector. It is also unclear which companies, if any, would participate in US-backed projects in Venezuela or what roles they would play. A ConocoPhillips spokesperson said the company is monitoring developments, but “it would be premature to speculate on any future business activity or investment.” Representatives for the White House, Cruz and the other energy companies mentioned in this article did not immediately respond to inquiries. This article will be updated if they do.
What to observe
New campaign finance reports due Jan. 31 will show political contributions through the end of 2025, which could shed more light on how oil and gas companies are positioning themselves.
Tangent
In October 2021, then-Rep. Bob Gibbs, R-Ohio, defended oil executives testifying before the House Oversight and Reform Committee, calling it “shameful” that Democrats were demonizing the oil and gas industry. At the time, Gibbs’ campaign had received $44,000 from oil industry groups that testified before his committee, including $2,500 from Exxon Mobil the previous month. Gibbs’ office did not respond to an inquiry at the time.
Forbes Rating
The richest Americans whose fortunes are closely tied to the energy sector are members of the Koch family. Julia Koch (David Koch’s widow) and her family are worth an estimated $81.2 billion, while Charles Koch and his family are valued at around $73.8 billion, according to Forbes estimates. Koch Industries was the oil and gas sector’s largest contributor in the 2024 election, spending $47.8 billion, according to OpenSecrets.
This article was originally published on Forbes US
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